Tenaga Nasional Bhd · MYX:TENAGA
Tenaga Nasional Bhd — Q3 FY2015 Earnings Presentation
28 slides from Tenaga Nasional Bhd's earnings presentation, Jul 30, 2015
Slide 1: Presentation to Analysts
PRESENTATION TO ANALYSTS Unaudited Consolidated Results for the 3rd Quarter FY2015 ended 31st May 2015 30th July 2015 Prepared by: [email protected] Investor Relations & Management Reporting Department GROUP FINANCE DIVISION
Slide 2: Agenda
AGENDA RESULTS SNAPSHOTS RESULTS HIGHLIGHTS RESULTS DETAILS QUESTION & ANSWER 2
Slide 3: 3rd Quarter FY2015
3rd QUARTER FY2015 3-Month Ended 31st May 2015 • Imbalance Cost Pass Through (ICPT) over-recovery recognition of RM1.82 bn 3QFY2015 2QFY2015 QoQ Profit After Tax RM0.77 bn RM2.13 bn (64.1%) EBITDA Margin 21.9% 37.8% 15.9ppt 3
Slide 4: Cumulative FY2015
CUMULATIVE FY2015 9 Months FY2015 9MFY2014 9MFY2015 (Restated) YoY Profit After Tax RM5.25 bn RM5.10 bn 2.9% EBITDA Margin 32.3% 27.4% 4.9ppt Average Coal Price USD67.3/mt USD76.5/mt 12.0% Forex Translation Gain/(Loss) (RM85.8 mn) RM292.2 mn >(100.0%) 4
Slide 5: Group Profit Analysis
GROUP PROFIT ANALYSIS Higher Adjusted Profit After Tax with Effective Implementation of ICPT Mechanism (RM mn) 9 MFY '15 9 MFY '14 Profit After Tax 5,251.3 5,104.8 Less: Forex Translation (Gain) / Loss 85.8 (292.2) Change in Corporate Tax Rate (188.7) Reinvestment Allowance (951.6) (1,076.7) Adjuste
Slide 6: Generation Mix (Peninsula) con't
GENERATION MIX (PENINSULA) con’t Year-on-Year Analysis 12.1% Reduction in Fuel Costs Mainly due to Lower Consumption of Gas & LNG, and Lower Coal Price Table 1: Fuel Cost (RM mn) Units Generated (Gwh) Variance Variance Fuel Type 9MFY'14 9MFY'15 RM mn % Fuel Type 9MFY'14 9MFY'15 Gwh % Gas 6,273.0 5,5
Slide 7: Generation Mix (Peninsula)
GENERATION MIX (PENINSULA) Quarterly Analysis UNITS GENERATED % 5.2 4.7 2.9 2.8 3.4 7.0 3.6 1.2 1.5 0.1 0.1 3.0 1.7 1.1 35.1 38.2 39.8 45.6 46.3 45.2 47.0 Hydro Oil & Distillate Coal Gas 58.7 55.9 53.8 49.9 51.1 49.2 45.9 1QFY'14 2QFY'14 3QFY'14 4QFY'14 1QFY'15 2QFY'15 3QFY'15 7
Slide 8: Electricity Growth in Peninsula
ELECTRICITY GROWTH IN PENINSULA FY2014 FY2015 UNITS SALES 1Q 2Q 3Q 4Q Sept Oct Nov Dec Jan Feb Mar Apr May Jun Industrial Gwh 10,644 10,802 10,584 10,998 3,704 3,582 3,687 3,587 3,660 3,729 3,256 3,799 3,706 3,736 Growth (%) 1.0 2.5 1.8 0.1 9.0 0.9 (0.2) 0.7 0.7 3.5 0.2 2.7 1.9 (0.2) Commercial Gwh
Slide 9: System Weekly Maximum Demand (Peninsula)
SYSTEM WEEKLY MAXIMUM DEMAND (PENINSULA) For FY2011 to FY2015 New PD: 16,901MW MW (11/06/14) 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr 17,500 17,000 16,500 16,000 15,500 15,000 14,500 14,000 13,500 13,000 12,500 12,000 Peak Demand YoY Growth (%) FY 2011 15,476 MW 9/5/2011 2.7 11,500 FY 2012 15,826 MW 20/6/201
Slide 10: Headline Key Performance Indicators
HEADLINE KEY PERFORMANCE INDICATORS INITIATIVES FY’14 9MFY’15 • Return on Assets (ROA) (%) 6.2 7.0 • Company CPU (sen/kwh) 35.0 34.5 • Revenue from Non-Regulated 2.5 1.8 Business (RM bn) • Equivalent Plant Availability 85.6 89.0 Factor (EAF) (%) • Transmission System Minutes (mins) 0.1 0.7 • Distrib
Slide 11: Capital Expenditure
CAPITAL EXPENDITURE Major Projects Represent 48.5% of Total CAPEX RM mn 3,115.4 4,942.6 5,805.8 6,361.1 7,689.6 8,000.0 7,500.0 7,000.0 6,500.0 6,000.0 3,730.5 48.5% 5,500.0 5,000.0 2,892.7 2,332.5 4,500.0 1,694.1 4,000.0 O 486.6 3,500.0 133.5 O 484.6 O 375.7 3,000.0 O 436.3 O 498.1 2,500.0 D 2,045.
Slide 12: Status of Major Projects
STATUS OF MAJOR PROJECTS Hulu Terengganu Connaught Bridge Hydro 265MW 385MW Janamanjung Unit 5 COD Sept 2015 (U1) COD 1st Sept 2015 Dec 2015 (U2) 1,000MW COD 1st Oct 2017 Ulu Jelai Hydro Prai 372MW 1,071MW COD Dec 2015 (U1) COD 1st Jan 2016 Mar 2016 (U2) 12
Slide 13: Agenda
AGENDA RESULTS SNAPSHOTS RESULTS HIGHLIGHTS RESULTS DETAILS QUESTION & ANSWER 13
Slide 14: Unaudited Income Statement (Group)
UNAUDITED INCOME STATEMENT (GROUP) Year-on-Year Analysis • Increase in Revenue from Jan’14 Tariff Review Partly Offset by ICPT Over Recovery • Net Profit of RM5.25bn (9MFY’14 includes FY’13 Reinvestment Allowance of RM0.66bn) CUMULATIVE Current Year Preceding Year To Date Corresponding Variance RM'm
Slide 15: Quarterly & Yearly Analysis
QUARTERLY & YEARLY ANALYSIS Year-on-Year EBITDA Margin Improved Resulted from Lower Costs & ICPT Implementation 9MFY'14 RM mn 1QFY'15 2QFY'15 3QFY'15 9MFY'15 (Restated) Total Units Sold (GWh) 27,431.2 27,197.6 27,493.1 82,121.9 79,843.7 Revenue 11,027.1 10,610.0 9,905.7 31,542.8 31,069.0 Operating E
Slide 16: Operating Expenses
OPERATING EXPENSES 3.0% Decrease in OPEX 9MFY'14 Variance Variance RM mn 9MFY'15 (Restated) RM mn % Capacity Payment 3,091.8 2,762.2 (329.6) (11.9) Energy Payment 6,488.3 6,833.2 344.9 5.0 Total IPPs Purchases/Costs 9,580.1 9,595.4 15.3 0.2 15,933.2 17,274.6 1,341.4 Fuel Costs 6,353.1 7,679.2 1,326.
Slide 17: Agenda
AGENDA RESULTS SNAPSHOTS RESULTS HIGHLIGHTS RESULTS DETAILS QUESTION & ANSWER 17
Slide 18: Details of Revenue
DETAILS OF REVENUE 9MFY'14 9MFY'15 Grow th (Restated) UNITS SOLD GWh GWh % - TNB 77,678.9 75,758.8 2.5 - EGAT (Export) 4.9 20.8 (76.4) - SESB 3,646.0 3,505.0 4.0 - LPL 792.1 559.1 41.7 Total Units Sold (GWh) 82,121.9 79,843.7 2.9 REVENUE RM mn Sen/KWh RM mn Sen/KWh Sales of Electricity - TNB 30,504.
Slide 19: Details of Revenue: Sectoral Analysis
DETAILS OF REVENUE: SECTORAL ANALYSIS Industrial Sector (Peninsula) Recorded Y-o-Y Growth of 2.1% GWh ELECTRONICS GWh PETROCHEMICAL 550 180 500 160 450 140 400 Y-o-Y 3.9% Y-o-Y (1.6%) 350 Apr 120 Aug Jul Dec Jan Feb Mar May Jun Apr Aug Jul Dec Jan Feb Mar May Jun Oct Nov Sep Nov Sep Oct IRON & STEEL
Slide 20: Details of Revenue: Sectoral Analysis
DETAILS OF REVENUE: SECTORAL ANALYSIS Commercial Sector (Peninsula) Recorded Y-o-Y Growth of 2.6% LOW VOLTAGE Shop Lots & Retail Business GWh 2100 1800 Y-o-Y 1.6% 1500 Feb Ma Jul Mar Apr Jun Aug Dec Sep Oct Jan Nov y t MEDIUM VOLTAGE MEDIUM VOLTAGE (PEAK/OFF-PEAK) Shopping Malls, Office Buildings, M
Slide 21: Fuel Costs (TNB & IPPs - Peninsula)
FUEL COSTS (TNB & IPPs - PENINSULA) Reduction in Fuel Costs Mainly due to Lower Consumption of Gas & LNG Fuel Costs Units Generated Dist. TNB, 0.0 Coal IPP Dist. IPP, 0.2 Coal TNB 22.9 17.4 Coal IPP Dist. TNB, 0.4 17.1 Oil TNB, 0.3 Dist. IPP, 0.7 Hydro Coal TNB Coal IPP 4.6 Oil IPP, 0.0 13.7 Coal IP
Slide 22: Coal Requirement
COAL REQUIREMENT Average Coal Price for 9MFY’15 was at USD67.3/MT Average Coal Price (CIF) FY’10 FY’11 FY’12 FY’13 FY’14 9MFY’15 (USD/metric tonne) 88.2 106.9 103.6 83.6 75.4 67.3 (RM/metric tonne) 293.8 325.9 321.9 259.5 244.6 234.3 Tonne (mn) With commissioning of Manjung 4 25.0 25.0 Country Mix 2
Slide 23: Debt Exposure & Forex
DEBT EXPOSURE & FOREX Lower Debt due to Settlement of USD350mn Bond 31st May’15 (RM bn) 31st Aug’14 12.7% (RM bn) 12.9% 3.05 3.28 Total Debt: 24.1 6.3% Total Debt: 25.5 10.3% 2.64 Net Debt: 1.51 Net Debt: 14.4 13.7 0.2% 0.1% 76.6% 0.05 80.9% 0.03 19.49 19.48 RM YEN USD Others Statistics 31st May'15
Slide 24: Shareholding
SHAREHOLDING Main Shareholding as at May’15 Foreign Shareholding Khazanah Nasional 9.4 27.84% Berhad 13.8 6.1 Employees Provident 26.90% 10.6 Fund Board 12.4 6.5 Permodalan Nasional Bhd 15.3 13.4 (%) 25.7 24.6 Other Corporations & 26.17% Govt. Agencies Aug’14 Malaysian Public 32.4 25.72% Foreign May
Slide 25: Agenda
AGENDA RESULTS SNAPSHOTS RESULTS HIGHLIGHTS RESULTS DETAILS QUESTION & ANSWER 25
Slide 26: Disclaimer
DISCLAIMER All information contained herein is meant strictly for the use of this presentation only and should not be used or relied on by any party for any other purpose and without the prior written approval of TNB. The information contained herein is the property of TNB and it is privileged and c
Slide 27: Contact Details
CONTACT DETAILS For further enquiries, kindly contact us at: INVESTOR RELATIONS & MANAGEMENT REPORTING DEPARTMENT Tenaga Nasional Berhad 4th Floor, TNB Headquarters No.129, Jalan Bangsar, 59200 Kuala Lumpur, MALAYSIA Tel : +603 2296 5566 Fax : +603 2284 0095 Email : [email protected] Website : w
Slide 28: Thank You
THANK YOU Unaudited Consolidated Results for the 3rd Quarter FY2015 ended 31st May 2015
Tenaga Nasional Berhad — Q3 FY2015 Earnings Presentation on 6ix